Endless LLP – Shareholder Rights Directive
The Shareholder Rights Directive aims to improve stewardship and corporate governance by encouraging long-term shareholder engagement with investee companies (where shares are admitted to trading on a regulated market) regarding shareholder and wider stakeholder engagement, monitoring and voting behaviour.
Endless is obliged to either (1) publicly disclose on an annual basis an engagement policy which covers the long-term investment strategy of the manager, how it interacts with other shareholders of the EU companies that it invests in, and how it casts it’s votes in the general meeting of investee companies; or (2) publicly disclose why it has chosen not to implement an engagement policy.
Endless does not actively invest in the shares of EU listed investee companies. Generally, shares in EU investee companies are expected only to be held as an investment ancillary to, as a precursor to, or as a result of, an investment in unlisted securities or following the listing of a previously unlisted portfolio company as part of an exit strategy for that investment.
As a result of this, we have decided that, whilst we support the concepts behind the development of a formal engagement policy, it is currently disproportionate to implement one in the context of the investments managed by Endless to which any policy would apply. This approach will be kept under review.